Accounts and Object Codes

Indiana University's accounting system uses account numbers and object codes to organize and catalog financial data. Every financial transaction at IU must have an account number, and object code, and a dollar amount.

Account Numbers

An account number is an identifier for a specific pool of funds that are set aside for a specific purpose. Accounts store information about financial transactions; they describe who is making a transaction and the purpose of the transaction.

All IU accounts are seven digits, unique, and chart-specific.

There are two kinds of accounts at IU: base-budgeted and cash accounts.

Base-budgeted account: The authority to spend is based on the account's budget. The cash that backs base-budgeted accounts is held by the unit's responsibility center or campus in an income stream account. General fund accounts are the only accounts that are base-budgeted.

Cash account: The authority to spend is based on the account's cash balance.

Some accounts have specific start and end dates, such as grant accounts. Other accounts exist for an unlimited time, such as a department's general fund account.

Account numbers are organized into fund groups, which are further divided into sub-fund groups. Fund groups can be identified by the account number prefix.

Accounts linked to revenue-generating activities that provide a good or service that does not directly support IU's mission. Both auxiliary and non-auxiliary units can have auxiliary accounts.

68

Clearing Funds

Funds used as a placeholder until the correct classification for a transaction is determined.

70

Loan Funds

Funds held by the university for the purpose of making loans to students.

80-85

Endowment Funds

Gifts to IU, or funds designated by IU, that have been restricted to the extent that only income derived from the investment of gift principal may be expended. Endowment fund accounts are not spending accounts.

90-95

Plant Funds

Renewal and replacement accounts that cover the cost of repairs and replacements, retirement of indebtedness accounts for payment of debt obligations, construction and major remodeling accounts for capital improvements, and major maintenance of physical facilities.

96-98

Agency Funds

Funds held for others for which IU acts as custodian or fiscal agent on behalf of the university.

99

Other Funds

Used by Treasury to record investments that are distributed to operating accounts.

Account prefixes allow IU employees to easily identify and communicate about accounts. KFS does not rely on the account prefix logic.

Sub-Account Number: Sub-accounts are tools that allow departments to further divide the activity of an account as they choose. For example, FMS's general fund account has subaccounts for Customer Service (CUSTR), Financial Reporting Cost and Tax (FICAT), and Operations (OPERA).

Object Codes

An object code classifies a financial transaction as an income, expense, asset, liability, or fund balance. Object codes store information about financial transactions; they describe the kind of transaction being made.

All IU object codes are four digits and unique to a chart and fiscal year. While every effort is made to keep object codes consistent across charts, there is occasionally some variability.

IU's budgets and reporting structure are built on object codes. Additionally, specific object codes may have other implications:

Sub-Object Code: Sub-object codes are tools that allow departments to further divide the activity of an object code as they choose. Sub-object codes are unique to both an account and an object code. For example, a department might create sub-object codes within the Office Supplies object code to track expenditures on pens, pencils, paper clips, and paper. Sub-object codes are not as widely used as sub-account numbers.

Associated Chart Fields

Account numbers and object codes carry with them large amounts of data. When an account number or object code is used in a financial transaction, KFS automatically records additional information about the transaction. Refer to the Accounting Terminology page for definitions of the following fields.